SUPERINTENDENT'S AGREEMENT Suly 1, 2017 ~ June 30, 2021 ‘THIS AGREEMENT is made and entered into this 19th day of December, 2016, by and between the Board of Directors of Decry Township School District (hereinafter referred to as the "Board") and Joseph McFarland (hereinafter referred to as "Mr. McFarland" or Superintendent"). RECITALS WHEREAS, the Board, at 2 meeting duly and properly called on the 19" day of December, 2016, did approve the renewal of Mr, McFarland’s appointment to the office of Superintendent in accordance with the provisions of the Commonwealth of Pennsylvania's Public School Code of 1949 as amended (hereinafter referred to as the “Public School Code”); and WHEREAS, the Board and Mr. McFarland reached agreement as to the terms and conditions of such renewal of appointment and have reduced said terms and conditions to writing in this Agreement; and WHEREAS, on December 19° 2016, this Agreement and its terms and conditions were approved at a public meeting of the Board duly noticed and properly called; ‘NOW, THEREFORE, the parties, intending to be legally bound and in consideration for the mutual covenants herein contained, hereby do agree as follows: 1. TERM. ‘The Board will employ Mr, McFarland as Superintendent of the Dery Township School District for a term of 4 (four) years commencing on July 1, 2017, and ending June 30, 2021. The term may be extended only pursuant to mutual agreement of the parties or 4390061Pursuant to the terms and conditions of the Public School Code pertaining to the reappointment of a School District Superintendent, 2 DUTIES. A. Service as Chief Administrator. During the term of this Agreement and any lawful extensions hereof, Superintendent agrees to serve as Chief Administrator of the Derry ‘Township School District ("School District") and as Executive Officer for the Board and to perform the duties of District Superintendent in a competent and professional manner in accord with and subject to: 1, Laws of the Commonwealth of Pennsylvania and the United States of America; 2. The policies of the Board; and 3. The provisions of this Agreement. B. Qualifications. Superintendent covenants that he possesses all the ‘qualifications/certifications that are required by law to sorve as the District Superintendent, and agrees to maintain throughout the term of this Agreement a valid and current commission or other logal credentials as may be required by law. Superintendent further agrees to subscribe to and take the proper oath of office before entering upon his duties under this Agreement, in accordance with the Public School Code, C. General Responsibilities. Without intending to limit the power and authority of the Board as proscribed by law, the administration of school policy, the operation and ‘management of the schools, and the direction of employees shall be through Superintendent, either personally or as delegated by him, Superintendent will have such duties as are prescribed by the Public School Code of 1949, as amended, and such responsibilities not inconsistent with the office as directed by the Board. Such responsibilities will include: 5499006.5439026.1 1. To serve as executive head of the entire school system in charge of both educational and business functions; 2. To administer the development and maintenance of a positive educational program designed to meet the needs of the community and to carry out policies of the Board; 3. To initiate matters of educational poticy and to make specific recommendations thereon; 4, To keep current with educational developments, practices and procedures and to advise the Board regarding same and any appropriate changes in policy; 3. To recommend the number and types of positions required to provide proper personnel for the operation of the School District, which shall include recommendations as to assignment of professional employees and all other employees under Superintendent's supervision; 6. To facilitate the development and spproval of policies in organization, finance, instruction, school planning and other functions of the school ‘Program; 7. To establish and maintain effective procedures and controls for the expenditure of all school funds in accordance with the annual school ‘budget subject to the direction and approval of the Board; 8, To supervise the preparation of the annual budget and to recommend it to the Board for consideration and approval; 9. To oversee the formation, preparation and submission to the Board of all ‘matters requiring lege! attention and action; 10. To advise and recommend any matters in business administration; to pass final proper requests for equipment and supplies; 11. To keep the Board continually informed of the progress and condition of the District; 12.To conduct continuous study of development and needs of the school's programs and curriculum of the School District and to keep the public adequately informed concerning such studies; 13. To provide liaison, communication and negotiation between the Board and District personnel subject to the direction and approval of the Board; and14, To perform all duties incident of the Office of Superintendent as set forth in Public Schoo! Code and such other duties as may be prescribed by the Board from time to time. D. Board Meetings. Superintendent will have a non-voting seat on the Board and will have a right to speak on all matters brought before the Board. Superintendent, or his designee, shall have the right to attend all regular and special meetings of the Board including all committee meetings thereof excepting those relating to his own employment and/or performance as directed by the Board. Superintendent shell serve as advisor to the Board and its committees in all matters affecting the Schoo! District. The Board, individually and collectively, shall promptly refer all criticisms, complaints and suggestions called to its attention to Superintendent for study, disposition, investigation and recommendation to the Board, as may be appropriate, E. Commitment of Superintendent to District. Superintendent will devote his fall time, skill, knowledge and attention to fulfilling his duties and responsibilities to the Schoo! District. However, during the term of this Agreement, upon prior notice and approval of the Board, which shall not be unreasonably withheld, Superintendent may undertake such consultative work, speaking engagements, writing, lecturing or other appropriate professional duties, provided such outside work will not interfere with the efficient and effective operation. of the School District, nor the Superintendent's availability for the needs of the School District. 3. COMPENSATION AND BENEFITS. A. Initial Salary. Commencing July 1, 2017, Superintendent will be paid an annual salary, appropriately prorated, of not less than One Hundred Fifty-Eight Thousand, Nine Hundred Forty Two Dollars and Ninety-four Cents ($158,942.94) PLUS a percentage increase equivalent to the District’s Act 1 base index for the 2017-2018 school year, paidinequal installments in accordance with the School District's policy governing its twelve month professional employees. B. Salary Increases. The School District shall annually review and increase the Superintendent's base salary in an amount equal to the School District’s Act 1 index for each academic year covered by this Agreement, provided however that an overall rating of "Unsatisfactory" shall result in no salary increase for the following year of the Agreement. The following schedule shall reflect the adjustments to the Superintendent's base salary over the life of this Agreement. 1, The Superintendent shall receive a base salary increase in per annum salary in an amount equal to the School District's Act 1 index, effective July 1, 2018 for the 2018-2019 academic year . 2. The Superintendent shall receive a base salary increase in per annum salary in an amount equal to the School Districts Act I index, effective July 1, 2019 for the 2019-2020 academic year. 3. The Superintendent shall receive a base salary increase in per annum salary in ‘an amount equal to the School District’s Act | index, effective July 1, 2020 for the 2020-2021 academic year. C. Merit Pay. ‘The Superintendent will be eligible for annual merit pay in the ‘amount of Three Percent (3%) of base salary upon a satisfactory annual evaluation as set forth by ‘mutual agreement of the Superintendent and the Board. ‘The Superintendent will also be eligible for additional annual merit pay in the amount of One Percent (1%) of base salary for satisfactory performance of the annual goals as set forth by mutual agreement of the Superintendent and the Board. The Superintendent's annual merit pay shall not exceed Four Percent (4%) in any year unless otherwise approved by the Board, D. Evaluation. For cach full year of service under this Agreement, ‘Superintendent's annual evaluations shall be based upon his performance in the duties set forth in Section 2(C), his ability to meet objective goals annually established by the Board and 43906:annually incorporated as Exhibit A to this Agreement, and his ability to work effectively with ‘the Board, the staff, the students, community and the group professionally. A copy of the Evaluation Tool to be used in evaluating Superintendent is incorporated as Exhibit A to this Agreement. The evaluation process shall be governed by the following: i, The Board of School Directors, no later than June 1 of each year, shall ‘evaluate, in writing, the performance of Superintendent. The written evaluation shall utilize a mutually agreed upon method as the basis for the evaluation, provided that any performance assessment selected shall (2) include a self-assessment by Superintendent and (b) require the Board of School Directors to speak in one voice by voting as an entire Board, rather then averaging the feedback of each member regarding each aspect of the evaluation. In the event the ‘Board of School Directors determines that the performance of Superintendent is unsatisfactory in ‘any respect, it shall describe in writing, in reasonable detail, the specific instances of unsatisfactory performance. A copy of the written evaluation shall be delivered to ‘Superintendent. Superintendent shall have the right to make a written response to the evaluation. The evaluation by the Board of School Directors and Superintendent's response(s) shall be private and shell be retained in confidence, except to the extent that the School District is required, pursuant to $1073.1(b.1) of the Publi School Code of 1949, as amended, 24 P.S.§10- 1073(b.1), to post the date of the assessment and whether Superintendent has met the agreed upon objective performance standards on the School District's publicly accessible Intemet website. ‘The formal written performance assessment shall be used for the following purposes: (a) to strengthen the working relationship between the Board of School Directors and ‘Superintendent and to clarify for Superintendent and individual members of the Board of School 43902611Directors the responsibilities the Board of School Directors relies on Superintendent to fulfil; and (b) to discuss and establish goals for the ensuing year. iii. The Board of School Directors and Superintendent agree that Superintendent's performance as Superintendent will be evaluated by the objective performance standards which are attached annually to the Agreement as Exhibit A. The objective performance standards shall be posted on the School District's publicly accessible Internet website, iv. No later than April 1 of each successive year of the term of this Agreement, the Board of Schoo! Directors shall meet to determine if the written objective performance standards, performance indicators and goals shall be modified. In the event that both parties agree to modify the objective performance standards, the modification(s) shall be set forth in writing, shall be attached to this Agreement and made a part of the Agreement, and shall bbe posted on the School District’s publicly accessible Internet website. v. At atime mutually agreeable to the Board and Superintendent, the parties shall meet mid-year to discuss the progress of the Superintendent toward achieving the objective performance standards. Ez Bene 1, Medical Insurance/Health Benefits. Superintendent, for himself, his spouse and his eligible dependents shall be eligible to elect from among the medical insurance and health benefits (including hospitalization, prescription drug, dental, and vision benefits) that are offered to Group I staff of the School District pursuant to the Act 93 Compensation Plan then in effect. Superintendent's employee contribution for his selected level of coverage shall be the same employee contribution percentage for Group I 390061employees under the Act 93 Compensation Plan then in effect, and such contribution percentage shall be adjusted to reflect what any revised percentage for that group, Group I, as set forth in any subsequent Act 93 Compensation Plan. 2. Tax Deferred Annuity. In addition to any matching contribution, the School District shall annually on June 15" of cach academic year, make a non- elective employer contribution into Superintendent's 403(b) or 457(b) or other tax- deferred annuity account in an amount equal to two percent (2%) of the Superintendent's salary for that year of the Agreement. The parties agree that these annuity payments are in addition to salary, The amount paid under any of them is not compensation for retirement ‘Purposes so that neither an employee nor an employer contribution is due on the payments nor are the payments includable in calculating PSERS benefits. 3. Vacation Days. Superintendent shall be entitled to twenty two (22) vacation days per school year, excluding school holidays. There shall be no carryover from year to year in excess of a cumulative total of forty (40) days without the specific approval of the Board. Superiritendent may cash in up to seven (7) unused vacation days per academic year. In any instances in which Superintendent is absent from work and seeks to utilize vacation, he shall advise the Board President in advance or as soon thereafter as is feasible, 4, Sick Leave. Upon the effective date of this Agreement, Superintendent will retain his current unused, accumulated sick time. Effective July 1 of each year, Superintendent will accrue twelve (12) paid sick days, Upon retirement, Superintendent will be eligible to receive a payout of sick leave in accordance with the terms set forth In the applicable Act 93 Compensation Plan. 4390061In any instances in which Superintendent is absent from work and secks to utilize sick days, he shall advise the Board President in advance or as soon thereafter as is feasible, 5. Sabbatical for Restoration of Health, Superintendent shall be eligible for a sabbatical for restoration of health subject to the applicable requirements under the Public School Code and District Policy. 6. Long Term Disability/Income Protection. Disability insurance will be provided, and Superintendent may be eligible to receive such benefit upon exhaustion of all sick leave and other usable paid leave. The benefit will provide for up to an integrated ‘maximum of 60% of Superintendent's salary, to a maximum of $4,000.00 per month. 7. Retiree Medical Coverage. Upon a qualifying retirement from the District, the District shall continue to provide Superintendent and his spouse the same or comparable life insurance and medical insurance/health benefits (including but not limited to major medical, hospitalization, physician coverage, prescription, dental, and vision insurance) that is substantially equivalent to the types and levels of benefits and coverage provided to active full-time professional employees. Such obligations shall extend until Superintendent is eligible for Medicare/Medicaid and shall survive the termination of this Agreement. For purposes of this paragraph, the term “qualifying retirement” shall mean that the Superintendent retires from his employment with the District in order to receive PSERS benefits under any of the scenarios specified in Section 513(b.1)(4) of the Public School Code, 24 PS, §5-513(b.1)(4). 8 Other Benefits. Except as specifically set forth above, during the term of this Agreement, the Superintendent shall receive any and all other personal benefits and incentives provided to other Act 93 Group 1 employees of the School District, as specified in 54390261the applicable Act 93 Compensation Plan, even though such benefits and incentives are not Otherwise enumerated in this Agreement. This shall specifically include life insurance, ability insurance, holidays and leave benefits, and matching tax-sheltered annuity contribution. Nothing contained herein shall preclude the School Distict ftom providing additional benefits for the District Superintendent as may be agreed to between the parties. F. Attendance at Conferences. The District encourages the continued professional growth of Superintendent by providing him time to attend and participate in conference(s), at reasonable District expense for travel and subsistence disbursements, This will include attendance at the American Association of School Administrator Conference national convention related to the duties of the Superintendent, and one state related convention request by the Superintendent and approved by the Board. Superintendent may request Board approval to attend additional seminars and conferences at the expense of the District (example: ‘CATU Superintendent conferences). Such approval shall not be unreasonably withheld. G. Payment of Dues/Memberships. The District will pay the annual dues for Superintendent's personal membership, or alternatively will include Superintendent in any institutional membership, in the following organizations: 1, American Association of School Administrators (ASA); and 2. Pennsylvania Association of School Administrators (PASA). 3. Pennsylvania School Boards Association (PSBA); 4. Association for Supervision and Curriculum Development (ASCD); 5. Learning Forward H. Professional Liability. The School District agrees that it will defend, hold harmless and indemnify District Superintendent from any and all demands, claims, suits, actions and legal proceedings brought against him in his individual capacity or in his official 59350261,capacity as agent and employee of the School District, provided the incident arose while District Superintendent was acting, or reasonably believed he was acting, within the scope of his employment and the defense of the action and indemnification costs are authorized under the Political Subdivision and Torts Claim Act. This obligation shall survive the termination of this Agreement. 4, [TMENT AND. (ATI A. Superintendent's Standard of Conduct. As the executive head of the entire school system, Superintendent understands and accepts the obligation to maintain the highest moral, ethical and character standards in his public and private life. Superintendent further acknowledges and accepts that any failure to maintain such standards will be viewed as potential cause for termination of this Agreement, to the fullest extent permitted under the Pennsylvania School Code. B. Terminations, Extensions and Renewals, The School District and Superintendent hereby agree that the following provisions shall be applicable for the term of this Agreement, or any extension or renewal of this Agreement. 1. This Agrocment may be unilaterally terminated without penalty by the resignation of Superintendent at any time, provided Superintendent gives the Board at least sixty (60) days’ notice prior to the effective date of the resignation. If this Agreement is terminated in this manner, the District shall pay and provide to Superintendent all of the aggregate compensation, salary, and benefits that Superintendent earned, accrued and/or is entitled to in accordance with this Agreement through the effective date of his resignation and termination of this Agreement. 2. This Agreement may be terminated for valid cause for reasons specified under Section 1080 of the Public School Code. However, the Board shall not arbitrarily or capriciously call for Superintendent's dismissal. Before his dismissal the School District shall provide Superintendent with written charges, adequate notice of a hearing and a fair and impartial hearing before the Board of School Directors, all elements of due process, and the right to appeal to courts of competent jurisdiction. At any such hearing before the Board, Superintendent shall have the rights to be present and to be heard, to be 4390261Tepresented by counsel, and to present evidence, through witnesses, testimony, and documentation relevant to the issue. 3. This Agreement shall terminate immediately upon expiration unless it is allowed to automatically renew by virtue of the Board's failure to provide 150 days’ notice prior to the Agreement’s term of its intent not to reappoint ‘Superintendent. The parties agree that such notice of intent not to reappoint ‘Superintendent shall be made to Superintendent in writing by certified mail, no later than January 31 of the final year of this Agreement. Should the Superintendent not be so notified, said Superintendent shall be reappointed for a term of years not less than the length of the expiring term and the terms and conditions of this Agreement shall be incorporated in a successor agreement, unless mutually agreed otherwise by the Board of School Directors and the Superintendent. 4, This Agreement may be terminated as a result of medical illness or incapacity preventing Superintendent from performing his duties and responsibilities more than four (4) months beyond the exhaustion of accumulated sick leave and any Sabbatical Leave of Absence for Restoration of Health as provided in Section 1166 of the Public School Code (for which Superintendent shall be deemed to meet the service requirements), and consistent with state and federal law. 5, This Agreement shall terminate upon death of Superintendent; provided however that Superintendent's spouse and eligible dependents shall continue to be eligible to receive the medical benefits available under Section 3(E\(1) of this Agreement at District's expense for a minimum of three (3) months following date of death. 6. Notwithstanding any other provision of this Agreement, the Board may, without cause and for any non-discriminatory reason consistent with the law, terminate this Agreement by giving a minimum of ninety (90) days written notice to the Superintendent prior to the effective date of the proposed termination of this Agreement and by obtaining the Superintendent's written confirmation accepting the early termination of this Agreement. If the Board terminates this Agreement in this manner, the District shall pay and provide to the Superintendent all of the aggregate compensation, salary and benefits, including insurance premiums and coverages and payment for unused leave, the Superintendent cared, accrued, and/or is entitied to in accordance with this Agreement through the termination date set forth in this Agreement plus all post-employment and retirement benefits provided for in this Agreement, Sick and Vacation Days at Termination, In the event this Agreement is terminated pursuant to Section 4(-B)(1) through 4(B)(2) hereof, the School District will not 5439026:be responsible or liable for compensating Superintendent for any unused sick days or unused vacation days whatsoever. Additionally, in the event that a termination occurs during the course of an academic year (Le. after Superintendent hes received his annval‘ellotment of vacation days), Superintendent will be responsible for pro-rated repayment of vacation days. ‘This shall be calculated as follows: days used in excess of the 22 days divided by 26 pay periods multiplied by the number of pay periods completed during the applicable termination year, D, Severance Payments. In the event that this Agreement is terminated in accordance with Section 4(B)(6) above, the parties agree as follows: 1, If the applicable termination date is on or prior to June 30, 2019, Superintendent will be entitled to receive continued salary and benefits for a period of one year. 2. If the applicable termination date is on or after July 1, 2019, Superintendent will be entitled to receive continued salary and benefits for a period equal to one-half of the then-remaining term of this Agreement. 5. SEVERABILITY. Should any provision of this Agreement be declared illegal by a court of competent jurisdiction, said provision shall be deemed to be deleted from this Agreement to the extent that it violates law. The remaining provisions shall remain in full force and effect for the duration of the Agreement if not affected by the deleted provision. 6. MODIFICATIONS. Notwithstanding any term or provision herein or elsewhere, oral or in writing, this Agreement shall not be modified except in writing signed by Superintendent and approved by the Board and executed by authorized officers of the Board. Additionally, in the event that ‘this Agreement requires additional terms, language or clarification to comport with Act 82 of 2012, the parties agree that they will incorporate such terms, language or clarifications into this #390264.Agreement by written amendment that is signed, approved and executed in accordance with the above requirements. All references to the Public School Code shall also refer to and incorporate any and all amendments or re-codifications of such Code, Accordingly, and as hereinbefore stated, Superintendent's employment shall be subject to all applicable provisions of the Public, School Code and to any amendments hereinafter enacted. IN WITNESS WHEREOF, and intending to be legelly bound thereby, the parties have caused this Agreement to be duly executed the day and year first above written. 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